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help! asap Q8 le itti Paul Panazzia, is considering a new pizza baking oven in which to cook the firm's signature dish, calazone a la
help! asap Q8
le itti Paul Panazzia, is considering a new pizza baking oven in which to cook the firm's signature dish, calazone a la vegetarian. The new oven type A can handle 24 calazones an hour. Paul's fixed costs for equipment A is $20,000 and the variable cost is $2.00 per calazone. Oven B is bigger and cooks 40 calazones an hour. Paul's fixed cost for oven B is $32,500 and the variable cost is $1.00 per calzone. The calzones sell for $14.00 each. a) The break-even point in units for oven type A - units (round your response to the nearest whole number). The break-even point in units for oven type B = units (round your response to the nearest whole number), b) If Paul thinks that the his restaurant is going to be able to sell 8,000 calazones, then he should select oven ire res and yso C) If Paul thinks that the his restaurant is going to be able to sell 12,000 calzones then he should select oven Idos d) The volume at which Oven A and Oven B have the same cost (crossover point) and Paul would be indifferent = calzones (round your response to the nearest whole number) Step by Step Solution
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